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A "4 - s % 5 WWW AWA AEWA iA Published bx S<ageog. Citizen Publishing L.td. co-publishers : John B. McClelland, Valerie Ellis editor : John B. McClelland OCNA Member THE SCUGOG'CITIZEN advertising manager : Valerie Ellis + CCNA Member an independently owned and operated ye aus IC. int, cep dre + accounting : 3 , iia She ob Fo to over 13,800 homes and businesses duction : Tanya Mappin . --- in and around Scugog Township. 36 WATER ST., PORT PERRY, ONT. L9L1J2 feature writer : Heather McCrae & CENA! Verified. ee , Phone : (905) 385-6297 Jo. Sos 985-1410 i ---- "Prov Canadians. provd 0 cll Scugog Tounahip ome" peremrmemmwesl A -- Subscriptions sold outside Scugog Township. D-EDITORIAL Let's Talk Taxes "The most difficult thing in the world to understand is taxes." The author of that quote isn't some hapless taxpayer wading through the latest "user friendly" form from Revenue Canada. It's this century's most renowned physicist, the father of nuclear energy, Albert Einstein. Our various levels of government are struggling with declining revenue. The politicians scramble around wondering why. The tax grab is bigger than ever, we have more people than before. Shouldn't revenues be going up? University of Alberta economist Bev Dahlby had a*look at the paradox. His findings ate not good news for Ontario. Tax increases here 'would in fact reduce the amount of money coming inté the government's coffers. We are "on the 'wrong' side of the high-income Laffer curve," he says. . .Dahlby's study is technical, but this conclusion can be expressed in plain language. At a ceggain complicated point, increases in taxes and tax rates start to reduce revenue. We passed that point here a long time ago. For every extra dollar our public sector grabs, another 72 cents disappears from Ontario economy. Across Canada, the average is 66 cents. : Why? The answer is one word: discouragement. Simply put, when people try to earn more by working harder or putting in longer hours, they find that they don't get to keep very much of that extra money. So they stop trying. * They spend more time with their families, or on the golf course, or relaxing in front of the TV. When time invested in earning more is time lost, people tend to do the rational thing and work less. In some parts of the world, the tax system is set up to reflect these realities. In Hong ong, for instance, the top tax rate is 15%. A majority, 58% of the population, pay no income tax at all. Government revenues are more than d te to cover exp , even though the colony took in millions of destitute refugees from mainland China. Its economy is booming and its people are prosperous and hard- working because it pays to works When China absorbs Hong Kong in three years, it will inherit what the colony's governor has called "the largest dowry since Cleopatra", a treasury surplus of almost $44 billion (Canadian). This, despite a capital flight inspired by fear of its behemoth neighbour. According to The Investor's Guide to Emerging Markets, many emerging nations are taking this path to growth and development: "They realize that capital formation, if not taxed, will grow more rapidly and thus provide more employment." ' There are good examples closer to home. About 15 years ago, both Great Britajn and the United States experimented with irfcome tax cuts.In both countries, sustained economic growth resulted. And guess what? Governmerit revenues, and the means to pay for social safety nets, went way up. Great Britain's budget went into surplus; the U.S. deficit d, but big sp s in Congress were at fault--for every extra dollar of revenue, they spent $1.75. # Structural deficits in Canada are not a problem we have to live with forever. The trend can be reversed, if our politicians decide to do two simple things. First, stop wasting tax revenues on things we can't afford. Second, follow the advice of another politician whose used tax cuts to engineer a big economic boom: "It is a paradoxical truth that tax rates are too high today and tax revenues are too low, and the soundest way to raise the revenues in the long run is to (lower) the rates now." Who's talking this time? Pr John F. Ki dy. Do you suppose our tax-and-spend boys will listen to their latter-day icon? ("Let's Talk Taxes" is a feature service of the Ontario Taxpayers Federation.) © 7 lid COUNCIL GETS TOUGH ON CRIME --- WANT TO GET CARRIED AWRY i --T OBOE ASIII eo LETTERS TO THE EDITOR FF Thursday night invasion of evil To the Editor: It's been two weeks now since the quiet Thursday evening in Port Perry was interrupted by an invasion of evil. My experience began with an abrupt halt at the bank as | came face to face with 2 masked men, terrorizing people with their rifles. The thought of how can I stop this, raced in my mind. Right then, one of the masked men turned towards me. Frightened I drove quickly to 2 men in the parking lot outside Valu-Mart. Much to my utter amazement, they not only didn't appear to believe me but didn't seem to care! Leaving my van running I hastened into Stedmans, beckoning a gentleman in the back office to call 911 explaining there was an armed robbery taking place in the bank. Returning to my van I looked back at the corn here a very quiet, eerie clo ered over the bank. It segmed like an eternity as all still. I had to do something; somehow. I entertained doing something with my van, it was all I had: I circled the lot towards the bank once again. Returning back to Valu-Mart I left the van and approached another man thinking he would perhaps assist me in stopping this crime. Just then we looked "back towards the bank and the two masked, armed men ®pproached us, very determined in their stride. I froze.(Much raced through my mind. Anger, fear, confusion. Then they lifted their rifles pointing them right at us, quickening their pace! I wished I'd stayed in my van but mostly my thoughts were of my husband & eight beautiful children and these weapons facing me could end all that. The gentleman beside me hit the deck & I ran into Valu-Mart convinced they were following me in. . 1 frantically told people they were out there with guns. Shots were then heard. Several of us stood trembling in the back of Valu-Mart. This was real! My struggle now isn't trying to , forget the look on the faces in the bank as armed men threatened their lives, although it so impacted me, with how precious our life is to us: It isn't the apathetic response of the men that ignored me, although that disturbs me greatly. What I continually have to deal with, is my inability to draw. strength from an Almighty God who has vietdry over such evil. 'Why do we react in fear, apathy, anger? Could I have done something more to spare the unfair pain on the policemen from bullets released from weapons held by such evil men? Should I have? * On much reflection, it seems apparent, that with those very high powered rifles and the intent of those robbers & their disregard of the law, as well as disrespect for human lives, | would likely be one dead hero! "Evil is amongst us. Pretending or wishing it weren't is foolish. But we must consider seriously, how we should act rather than react. To the victims shot, I wish to God I could have stopped them, but most of all please forgive me for reacting in fear rather than acting in control. Joani Fletcher Scugog Township LY Fair statement of the facts To the Editor: In a letter to the Editor in the November 1 issue of the Citizen, + Mr. Doug Moffatt comments on sewage capacity in the Township. He maligns the current and previous Councils for a failure to provide for commercial and industrial requirements. Unfortunately, it would appear that Mr. Moffatt has a greater propensity to throw stones than to do the research necessary to get his facts straight. The sewer allocations for residential development are entirely separate from commeTrcial/industrial and as well, there is component for intensification in line with policies encouraged by the Province. Adequate capacity is indeed available and in fact, Council Members have been working hard to promote commercial and industrial expansion within the Township, as reflected by a 19% increase since 1989. I believe that this is a fair statement of the facts. Ken Gadsden Councillor-Ward 3